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Return on Investment

Return on investment, abbreviated as ROI, is the benefit an investor will receive in relation to their investment cost.

 

Return on Investment Formula

\(\large{ ROI =  \frac{ NI }{ COI }  }\)
Symbol
\(\large{ ROI }\) = return on investment
\(\large{ COI }\) = cost of investment
\(\large{ NI }\) = net income

 

Return on Investment Formula

\(\large{ ROI =  \frac{ GR \;-\;COI }{ COI }  }\)
Symbol
\(\large{ ROI }\) = return on investment
\(\large{ COI }\) = cost of investment
\(\large{ GI }\) = gross Income

 

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